CY Dividend Type Payments

CYPRESS SEMICONDUCTOR dividend

Although CY has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on CYPRESS SEMICONDUCTOR to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 4:16 PM ET):

CYPRESS SEMICONDUCTOR (CY)
Bid Ask Last Change Volume P/E Market Cap
13.70 13.99 13.88 +0.04 3.6M 346 5.0B

CY Dividend-Like Income Using Covered Calls

With CY at 13.88, here's a table showing how big the annual "dividend" (ie. total annual call premium received) would need to be to attain 3%, 5%, and 10% annual yields. Also shown is the equivalent number of cents/day necessary to achieve each yield:

Annual Yield Annual Premium Cents/Day
3% 0.42 0.1
5% 0.69 0.2
10% 1.39 0.4

So now we need to find out of the money covered calls that pay at least the prescribed cents/day amount of time premium. That will generate income and, because they are out of the money, leave room for some upside potential on the stock. Here are some examples:

3% Yield On CY Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 14.00 0.10 3 3.3 0.01 (0.1%)
Nov 16 16.00 0.05 31 0.2 2.01 (14.5%)
5% Yield On CY Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 14.00 0.10 3 3.3 0.01 (0.1%)
Nov 16 15.00 0.25 31 0.8 1.01 (7.3%)
10% Yield On CY Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 14.00 0.10 3 3.3 0.01 (0.1%)
Nov 16 15.00 0.25 31 0.8 1.01 (7.3%)

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Top 10 Open Interest For Oct 19 Expiration     Top 5 High Yield
1.SPY dividend 6.PBR dividend   1.CLVS dividend
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5.BAC dividend 10.AMD dividend   5.TLRY dividend

Want more examples? CXW Dividend | CYB Dividend